IOSCO Statement on New Standards

The International Organisation of Securities Commissions (IOSCO) has published a statement asking concerning the implementation of IFRS 9 Financial Instruments, IFRS 15 Revenue from Contracts with Customers and IFRS 16 Leases.

In light of Principle 16 of IOSCO’s Principles of Securities Regulations for issuers that there should be full, accurate and timely disclosure of financial results, risk and other information which is material to investors’ decisions, the statement draws attention to:

• The significant effect IFRSs 9, 15 and 16 could have on issuer’s financial statements
• The importance of not underestimating the impact these standards could have and, therefore, the need to ensure implementation is adequately planned for with the appropriate tone set by issuers and audit committees in relation thereto.
• The requirements in IAS 8 Accounting Policies, Changes in Estimates and Errors to disclose in advance of adopting the standards the impact they will have on issuers’ financial position and performance.
• Matters IOSCO believes audit committees and auditors should consider as issuers implement the standards

The statement can be downloaded from the IOSCO web site here.